The annual report from Kerry Co-operative Creameries showed earnings before interest, tax, depreciation and amortisation (EBITDA) of €81.3m on revenue of €1.4bn in 2025.

The profit-after-tax figure for the co-op, which is a reflection of the financial performance of Kinisla, came in at €32.1m. This figure is before the agreed annual dividend payment to Kerry Group of €7.5m is accounted for. Net debt at the business stood at €69m, which gives a net debt to EBITDA ratio of 0.8 times.

Pat Murphy, CEO of Kinisla, told the Irish Farmers Journal that the “business is going according to plan” and that the nutritional ingredients and consumer foods segments are performing particularly well.

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He cited the recent rise in the price of dairy protein in the nutritional ingredients segment, as well as the performance of milk protein isolate and milk protein concentrate which he said are “going well”.

On consumer foods, Murphy said that Cheestrings production is at capacity and that the company is looking to make fresh investments which would allow a further expansion of production. The financial results have been released ahead of the deadline for the signing of the Kinisla supply contracts which passes on 4 August. Suppliers, and a couple of board members of Kinisla, had called for the information to be released ahead of that deadline.

Signed up

Murphy said that the majority of suppliers had already signed the new supply agreement and that there were more coming in every day. He said he was unable to give a number for how many had signed up.

Murphy added that the issue of whether there would be an extension to the deadline for signing the supply agreement was an issue for the board, who would meet in the coming days. When he was asked if Kinisla would continue to collect milk from those farmers who had not signed the contract by 4 August, he said that it was made clear in the letter to suppliers that Kinisla was not under any obligation to collect that milk after that date.

Ultimately, he said, the decision on whether to collect that milk or not is an issue for the board.